AY 2026-27 · Finance Act 2025

Tax planning isn’t about
saving tax - it’s about
keeping what’s yours.

Calculate your Old vs New Regime tax right here - then explore HRA, capital gains, and house property income with four dedicated sub-calculators. Everything in one place, with clear explanations at every step.

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Finance Act 2025
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Tax Regime Calculator

Know your number before you plan.

Compare Old vs New Regime for FY 2025-26 and FY 2026-27. Enter your income and deductions - see the computed tax under each regime and the difference between them.

Old vs New Tax Regime Calculator

Finance Act 2025 · AY 2026-27 & AY 2027-28

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Finance Act 2025 rates apply for AY 2026-27 (FY 2025-26). New Regime: NIL tax up to ₹12,00,000 income (₹12,75,000 for salaried with ₹75,000 standard deduction). Old Regime: unchanged - all Chapter VI-A deductions available. Finance Bill 2026 makes no changes to these slab rates.

Assessment Year:
Taxpayer Type:

Your Income Details

Step 1 - Compute sub-components first

If any of the below apply to you, calculate those amounts first and note them down. Then come back here and enter the computed figures into the main calculator below.

Income Sources
Standard deduction of ₹75,000 (New) / ₹50,000 (Old) applied automatically
Deductions (Old Regime only - ignored for New Regime)
Max allowed: ₹1,50,000
Max allowed: ₹50,000
Calculate HRA exemption →
Taxpayer Profile

Your Tax Summary

Fill in your income details on the left and click Calculate My Tax to see your side-by-side comparison.

Results show both regimes simultaneously - you decide.

A number is the start, not the plan. Money coaching turns your tax result into a strategy - covering your regime choice, investment timing, and deduction maximisation across financial years.

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AY 2026-27 · Finance Act 2025

Current tax slabs - at a glance.

These are the income tax slabs applicable for Assessment Year 2026-27 (Financial Year 2025-26). The New Regime is the default; Old Regime must be opted-in.

New Tax Regime Default
Income Slab Tax Rate
Up to ₹4,00,000Nil
₹4,00,001 - ₹8,00,0005%
₹8,00,001 - ₹12,00,00010%
₹12,00,001 - ₹16,00,00015%
₹16,00,001 - ₹20,00,00020%
₹20,00,001 - ₹24,00,00025%
Above ₹24,00,00030%
87A Rebate: NIL tax for total income ≤ ₹12L (before cess).
Standard Deduction: ₹75,000 for salaried / pensioners.
Old Tax Regime Opt-In Required
Income Slab Tax Rate
Up to ₹2,50,000Nil
₹2,50,001 - ₹5,00,0005%
₹5,00,001 - ₹10,00,00020%
Above ₹10,00,00030%
87A Rebate: NIL tax for income ≤ ₹5L.
Deductions available: 80C (₹1.5L), HRA, 80D, NPS (80CCD), home loan interest, and more.

+ 4% Health & Education Cess on tax in both regimes. Surcharge applicable on income above ₹50L.

Regime Decision Guide

Old vs New - which one wins for you?

The break-even point depends on your total deductions. As a thumb rule: if your total deductions (80C + HRA + home loan interest + NPS + 80D) exceed ₹3.75 lakh, the Old Regime often wins. Use the calculator above to be sure.

Factor Old Regime New Regime
Standard Deduction (Salaried) ₹50,000 ₹75,000
Section 80C (PF, ELSS, LIC…) Up to ₹1,50,000 Not available
HRA Exemption If paying rent Not available
Home Loan Interest (self-occupied) Up to ₹2,00,000 Not available
NPS (80CCD(1B)) Up to ₹50,000 Not available
Section 80D (Health Insurance) Up to ₹25,000-₹50,000 Not available
Employer NPS Contribution 80CCD(2) - 10% of salary 80CCD(2) - 14% of salary
Leave Travel Allowance (LTA) Available Not available
House Property Loss Set-Off Up to ₹2L against salary No set-off allowed
87A Tax Rebate ₹5L threshold ₹12L threshold
Typically better for… High deduction earners (₹3.75L+ in deductions) Most salaried earners; income ≤ ₹12L after std. deduction

Detailed Calculators

Dig deeper into specific income sources.

The Tax Regime Calculator above uses values from these four dedicated tools. Run any that apply to your situation, note the result, then enter the computed figure into the main calculator.

Annual Tax Planning

Your tax year - action by quarter.

Tax planning isn’t a March rush. Done through the year, the same income can yield significantly lower tax with identical compliance. Here is what to act on each quarter.

1

Declare your regime at the start of the year April

Submit Form 12BB to your employer by April declaring whether you choose Old or New Regime for TDS purposes. An incorrect declaration means excess TDS is deducted all year - recoverable at filing, but it’s your money sitting with the government interest-free until July.

2

Structure your salary CTC for tax efficiency April-May

Many employers allow you to restructure your CTC annually - shifting amounts to HRA (if renting), LTA, meal allowances, or telephone reimbursements. This is a zero-investment tax reduction. Check with HR before May; changes typically cannot be made mid-year.

3

Start your 80C investments before the rush April-September

ELSS (Equity-Linked Savings Scheme) investments started in April vs March get an extra year of compounding. PPF annual contribution before April 5 earns interest for the full year. The tax benefit is the same; the wealth outcome is different by thousands.

4

Review advance tax liability June

If your total tax liability exceeds ₹10,000 (after TDS), you must pay advance tax - 15% by June 15, 45% by September 15, 75% by December 15, 100% by March 15. Missing these triggers interest under Sections 234B and 234C. Particularly important for freelancers, investors, and those with significant capital gains or rental income.

5

Book capital losses before March if in Old Regime January-March

Short-term capital losses can be set off against both STCG and LTCG. Long-term capital losses only against LTCG. If you are holding loss-making positions in equity or mutual funds and have capital gains this year, strategically booking losses before year-end can reduce your overall capital gains tax.

6

Complete documentation - don’t just invest February-March

HRA claims require rent receipts (with landlord’s PAN if rent exceeds ₹1L per year), 80C requires actual certificates (PPF passbook, ELSS statement), 80D requires premium receipts. Claims made without documentation at time of filing expose you to disallowance and penalty during assessment.

Concepts Worth Knowing

The terms behind the numbers.

Tax law is full of jargon that obscures simple ideas. Here are six concepts the calculators use - explained plainly.

87A

Tax Rebate u/s 87A

If your total income does not exceed ₹12 lakh (New Regime) or ₹5 lakh (Old Regime), your income tax liability is reduced to zero via the 87A rebate. This is before cess - so cess (4%) still applies on any rebate not covering the full amount. However, special rate incomes like STCG on equity are excluded from this rebate.

CII

Cost Inflation Index

The government publishes a Cost Inflation Index (CII) each year. For property, gold, and certain bonds held long-term, the original purchase price is “indexed” using the ratio of sale-year CII to purchase-year CII - effectively reducing your taxable gain to account for inflation. Available only in Old Regime for property sales before July 23, 2024.

STCG

Short-Term Capital Gains

Gains from selling assets held below the threshold holding period. For listed equity and equity mutual funds: less than 12 months = STCG, taxed at 20% (from Budget 2024). For property and gold: less than 24 months = STCG, taxed at your applicable slab rate. For debt mutual funds: all gains are now at slab rate (post April 2023).

GAV

Gross Annual Value

For let-out property, your taxable income is not the full rent received - it’s the GAV (expected market rent or actual rent, whichever is higher) minus municipal taxes paid, then minus a 30% standard deduction, then minus home loan interest (no cap for let-out property). The result can be negative - a loss - which can be set off up to ₹2L against your salary income under Old Regime.

80C

Section 80C Deductions

The ₹1,50,000 annual deduction available under Old Regime covering: EPF/VPF contributions, PPF, ELSS mutual funds, life insurance premiums, principal repayment on home loan, NSC, Sukanya Samriddhi, 5-year FDs. Only one among all these qualifies as a wealth-building investment (ELSS) - choose wisely within the ₹1.5L limit.

TDS

Tax Deducted at Source

Tax your employer, bank, or tenant deducts on your behalf before paying you. It is not your final tax - it is an advance payment. At filing time, your actual tax is computed and any excess TDS is refunded, any shortfall is payable with interest. Managing TDS correctly (via declarations and certificates) avoids cash flow issues through the year.

Money Coaching

Calculators tell you what. A coach helps you decide what to do.

The right tax strategy depends on factors no calculator can capture - your employment contract, upcoming asset sales, family structure, employer flexibility, and your financial goals for the next five years. That’s a conversation, not a computation.

Book a Coaching Session

The information and calculators on this page are for educational and illustrative purposes only. They are not a substitute for professional tax advice. Tax laws change frequently - while we endeavour to keep our calculators current with Finance Act 2025 (AY 2026-27), please verify applicable rates at the time of filing. Consult a qualified tax professional before making financial or tax decisions. Content on this page is for educational purposes only. The Money Mindshift and Boundless You do not accept liability for decisions made on the basis of calculator outputs alone.